A company with a degree of operating leverage of 4 would expect net operating income to increase

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A company with a degree of operating leverage of 4 would expect net operating income to increase by 200% if sales increased from $100,000 to $150,000.

A) True

B) False

Related Book For answer-question

Fundamentals of Corporate Finance

ISBN: 978-0077861629

8th edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus

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Posted Date: Jul 12, 2021 02:33 PM

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A company with a degree of operating leverage of 4 would expect net operating income to increase

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